Drew Barrymore invests in Grove Collaborative - The Entrepreneurial Way with A.I.


Monday, April 11, 2022

Drew Barrymore invests in Grove Collaborative


Dive Brief:

  • Actress and entrepreneur Drew Barrymore has become an investor in Grove Collaborative and will serve as its first global brand and sustainability advocate, the company announced on Thursday. 
  • As part of the partnership, Grove Collaborative will feature Barrymore in its new "Wish-cycling" campaign, which aims to inform consumers about the ineffectiveness of plastic recycling. The company will share the campaign across TV, social media, radio and Out of Home, according to the announcement. 
  • Barrymore will also work with Grove Collaborative's product development team to inform product innovation and help the company progress toward its goal of being plastic-free. 

Dive Insight:

Grove Collaborative's partnership with Drew Barrymore comes amid expansion for the company, which has plans to go public and has been working to bolster its product assortment. The company said it released almost 100 new Grove Co. and Peach Not Plastic products over the past year. Grove has recently expanded into the kids personal care space, and entered the pets space in December. Last May, Grove unveiled a refillable system for its deodorant, body lotion and balm sticks.

Two years ago, the company created the Plastic Working Group, a collection of more than 85 brands aiming to shift the industry away from plastic. Grove's work with Barrymore is similarly aimed at transitioning the industry away from single-use plastic.

"Drew is such a positive and authentic person, and she is an incredible example of someone who strives to affect change by inspiring and educating others," Stu Landesberg, CEO and co-founder of Grove Collaborative, said in a statement. "We are thrilled to welcome Drew to the team to work together towards a common goal of creating a more sustainable plastic-free future."

As the company works to scale, it has been plotting a wholesale expansion and a SPAC merger. The DTC brand is planning to go public on the New York Stock Exchange under the ticker symbol "GROV" in the first half of this year and has big plans for its long-term growth. The company expects to make $600 million by 2024, and aims to grow its wholesale footprint after a successful partnership with Target. Last year, Grove entered physical stores for the first time with Target and released an exclusive citron and white rose scent for the big-box retailer in addition to its regular product offerings.

However, as Grove collaborative prepares to go public, the company has recently trimmed its workforce and fallen slightly short of revenue goals. The company laid off about 17% of its corporate staffers to cut operating costs and "strengthen key strategic areas across the business." It generated $383.7 million in revenue in 2021, slightly less than the $385 million it expected to make. The company attributed the results to supply chain issues, the changing demand for disinfecting products and a shift in marketing spending that affected customer acquisition.

via https://www.aiupnow.com

Tatiana Walk-Morris, Khareem Sudlow